HomeMy WebLinkAboutP-144-81 10,°7
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CORPORATION OF THE TOWN OF NEWCASTLE
PLANNING AND DEVELOPMENT DEPARTMENT D.N. SMITH, M.C.I.P,, Director
HAMPTON,ONTARIO LOB 1JO TEL.(416)263-2231
REPORT TO THE PLANNING AND DEVELOPMENT COMMITTEE MEETING OF SEPTEMBER
14, 1981.
REPORT NO. : P-144-81
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SUBJECT: The Ontario Neighbourhood Improvement Program
(O.N.I.P.)
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RECOMMENDATION:
It is respectfully recommended that:
1. This Report be received for information.
BACKGROUND:
On July 13, 1981 Council adopted the following resolutions
in respect of the O.N.I.P. Program guidelines:
Resolution #C-773-81
"THAT the correspondence from the Ministry of Housing
dated June 29 1981 Open Letter to Municipalities that
Requested ONIP Administration Outline, be received for
information.
Resolution #C-774-81
"THAT the correspondence be referred to the Director of
Planning for a report back through the Planning and
Development Committee."
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Background to the Program
The Neighbourhood Improvement Program (N.I.P.) was intro-
duced in 1974 and continued until March 31, 1978. During that period,
N.I.P. was an independent program funded jointly by Federal, Provincial
and Municipal Governments. In 1979 and 1980, a N.I.P. component was
included in the now cancelled Community Services Contribution Program
(C.S.C.P.) . The Federal Government announced the cancellation of the
Community Services Contribution Program in November, 1980.
In order to maintain the continuity of community improvement,
the Government of Ontario announced on February 23, 1981, the introduction
of the new Provincial/Municipal Program called the Ontario Neighbourhood
Improvement Program (O.N.I.P.) . Under this Program, the cost sharing is
divided equally (50/50) .
Summary of Eligibility Criteria
Sections IV and V of the "Program Administration Outline"
describe the Municipal Eligibility Criteria (IV) and the Neighbourhood
Eligibility Criteria (V) for the O.N.I.P Program. The following is a
summary of the information contained in these sections.
Section IV
In Order for a Municipality to qualify under the O.N.I.P.
Program, they must:
- have an approved Official Plan;
- have a property maintenance and standards by-law or
agree to adopt one prior to redevelopment plan submission;
- prepare and submit a redevelopment plan under Section 22(5)
of the Planning Act;
- involve residents in the project;
- have the financial and administrative capacity to implement
the plan; and
- endeavour to prepare a comprehensive redevelopment strategy.
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Section V
In order for a Neighbourhood to be considered eligible
to participate in O.N.I.P, it must
- have at least 25% of its housing stock in need of
rehabilitation;
- have a deficiency in Municipal and Social-Recreational
facilities;
- be composed of households that have an average income
lower than the Provicial average or lower than the
average of the entire Municipality.*
- be a stable residential area.
Eligible Cost Summary
- Maximum of 15% of total project costs may be spent
on Administration;
- Not less than 20% of total project costs may be
spent on either "social-recreational" or "municipal"
improvements;
- Funds can only be used to improve lands which are
municipally owned or where a Municipality has a long-
term use agreement acceptable to the Ministry of Housing.
COMMENT:
The eligibility criteria for the O.N.I.P. Program suggests
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that this Program is consistentwith the recent Provincial Government
approaches to funding in most assistance areas. In other words, if a
Municipality wishes to acquire Provincial assistance, they must be pre-
pared to make a substantial commitment of their own and they must demon-
strate how each component or each "project" fits into an overall scheme
* Without detailed information on household incomes, it is
difficult to determine which neighbourhoold areas would be
considered eligible. It is reasonable to assume, however,
that some hamlets and some portions of the Urban Areas would
qualify, and some would not.
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which is acceptable to the Province. Before an application for
funding under the O.N.I.P. Program is seriously considered, the
Town should recognize the overall commitment required in terms of
establishing comprehensive redevelopment policies, in terms of the
administrative and implementation duties, and in terms of the financial
obligations under the cost sharing breakdown.
Respectfully submitted,
FA:lb D. N. Smith, M.C.I.P.
August 4, 1981 Director of Planning
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Ministry of
Housing
Ontario
IMPROVEMENT PROGRAM.-
ADMINISTRATION
OUTLINE
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Community
Renewal
ario
Renews Branch
June, 1981
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TABLE OF CONTENTS
(I) INTRODUCTION
(II) BACKGROUND
(III) PROGRAM OBJECTIVES
(IV) MUNICIPAL ELIGIBILITY CRITERIA
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(V) NEIGHBOURHOOD ELIGIBILITY CRITERIA
(VI) LIST OF ELIGIBLE ITEMS
(VII) FUNDING PROCEDURES
(VIII) IMPLEMENTATION PROCESS
APPENDICES
(A) APPLICATION FORM
(B) LEGISLATIVE AUTHORITY
(B) (i) REDEVELOPMENT AREA DESIGNATION
REDEVELOPMENT PLAN ADOPTION
PROVINCIAL/MUNICIPAL
AGREEMENT
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(I) INTRODUCTION
The purpose of this document is to provide a
general outline of the Ontario Neighbourhood
Improvement Program (ONIP) and the
process, implementation
In addition to this document, municipalities
which have been allocated funding will receive
copies of the Provincial/Munici a1 Agreement,
Claim pro_gresReport Forms.
Municipal requests for the allocation of funds
for the fiscal year 81/82 must be received by `
the Community Renewal Branch of the
Ministry no later than September 30, 1981.
Two application forms are included in this
outline. Municipalities interested in apppplying
the Community u forms, return
andretai c
nthe other
for their files. Extra application forms
may be obtained from the Community Renewal
Branch.
Municipal requests for the allocation of funds
for the fiscal year 82/83 must also be received
by the Community Renewal Branch of the Ministry
no later than September 30, 1981.
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(II) BACKGROUND
The Neighbourhood Improvement Program
(NIP) was introduced in 1974 and continued
until March 31, 1978. During that period,
NIP was an independent program funded
jointly by federal, provincial and municipal
governments. In 1979 and 1980, a NIP
component was included in the now cancelled
Community Services Contribution Program
(CSCP) . The federal government announced the
cancellation of the Community Services
Contribution Program in November 1980.
In order to maintain the continuity of
community improvement, the Government of
Ontario announced on February 23, 1981, the
introduction of the new provincial/municipal
program called the Ontario Neighbourhood
Improvement Program (ONIP). Under this
program, the cost sharing is divided equally
(50/50) .
Since municipal demand may exceed the
provincial annual allocation, provincial
funds will be allocated to municipalities
on the basis of relative need and merit.
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VIII) PROGRAM OBJECTIVES
To encourage and assist municipalities in
implementing a municipal improvement
strategy.
• To improve conditions in older deteriorating
but potentially stable and predominately
residential neighbourhoods occupied by low
and moderate income households.
• To assist municipalities in improving
municipal services, public utilities and
social and recreational facilities in eligible
residential neighbourhoods.
• To encourage investment in the rehabilitation
of existing housing stock, and new infill
development by private and/or socially
assisted housing.
• To encourage energy conservation through
energy efficient land use.
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('IV) MUNICIPAL ELIGIBILITY CRITERIA
To be eligible for financial assistance under the
Ontario Neighbourhood Improvement Program, a
municipality must comply with the following
criteria:-
The municipality must:
® Have a neighbourhood which complies with the ` hr
neighbourhood eligibility criteria.
Have an approved official plan in effect. ,i
Have already adopted a property maintenance
standards by-law either pursuant to Section 36
of The Planning Act or under a private bill.
If there is no by-law in effect, the municipality
must have a policy statement pertaining to
housing conditions in the approved official plan
and auree to develop and adopt a property
standards by-law prior to 'the submission of the \\
redevelopment-plan--to theMinister.� Thie'by=Law f
must be acceptable to the Ministry. /
Undertake to involve the residents of the
neighbourhood during the preparation of the
redevelopment plan.
have the financial and administrative capability
to implement the redevelopment plan.
Be able to develop and submit a redev.0lopment
plan under Section 22(5) of The Planning Act,
within six months of- the 'date of allocation
of provincial funding. The plan must be implemented
within four years of the date of allocation.
in addition to the eligibility criteria outlined
above, a municipality must endeavour to develop A,
and adopt a municipalmproveirie�tti"strafe
Effective April 1 198 municipal improvement
strategy is going Co be a pre-requisite under
the Ontario Neighbourhood 'improvement- Program
(ONIP) and any new provincial program of
community improvement.
Notwithstanding the requirement under the
Ontario Neighbourhood Improvement Program and
the likely stipulation under the proposed new
Planning Act, community improvements, even
with municipal funding alone, must be planned
comprehensively to ensure optimum results.
In other words, prior to the initiation of any
specific improvement project or projects by
the municipality, there should be in place an
overall municipal improvement strategy as part
of the comprehensive planning process.
Although the actual content of a municipal
improvement strategy would vary substantially
from one municipality to another, it would
normally contain the following:-
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(a) Identification of the areas in need of
improvement.
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(b) Doscription of the kind of defi.ci.encios
in each improvement urea e. el;i�ti �9e°quate
street patterns, poor municipal mainten-
ance of streets and undergound services,
lack of sufficient open spaces, i.nadequare
or poorly located schools, inadequate
shopping facilities, poor public trans-
portation, poor maintenance of housing,
flight of business enterprise to the
suburbs, physical dilapidation of
structures and vacancies in stores and
offices, reduction in property assessment
and tax revenue etc.
(c) Listing of the type of improvements needed
in each improvement area-
(d) Setting out of priorities and__t.,mjag for the
implementation among the various improvement
areas.
(e) Estimates of cost-s for the improvements
conteinplated for each area.
(f) Likely sources of-.fun-d ip�g for the
improvements.'`-
(g) Policies and controls for preventina_the
deterioration of areas not presently in
need--a-`-i�ttpYovement.
The Community Renewal Branch will also be publishing
guidelines to assist municipalities in the pre-
paration of a municipal improvement strategy.
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M NEIGHBOURHOOD ELIGIBILITY CRITERIA
"Neighbourhood" for the purposes of ONIP, means
an area defined by boundaries relating to
existing geographic, social, physical and
functional features. A municipality with a
population of less than 5,000 can be designated
in its entirety provided that the neighbourhood
eligibility criteria are fulfilled. The
neighbourhood eligibility criteria are as follows:-
0 At least 25% of the housing stock is in need of
rehabilitation.
There is a deterioration or deficiency in one
or more of the following municipal services:
a) sewer and water mains
b) roads and streets
c) curbs and sidewalks
d) street lighting and utilities
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There is a deterioration of or deficiency in one
or more of the following recreational and social
facilities:
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a) public indoor/outdoor recreational i
facilities
b) public open space
c) public social facilities such as
community centres, libraries, clinics
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® The area is composed of
P predominately low and
moderate income households. The average household
income of the ONIP area shall be below either the
average provincial household income or the average
household income of the municipality.
The area is predominate) and
will continue to be so as reflected linn the lofficial
plan.
The area is potentially stable in terms of residential
land uses and densities;
a) there are no indications of major con-
struction or redevelopment plans for
the area which will cause major changes.
b) there are no conditions inside and outside
the area which will continue to exert
a negative influence upon the area, the
adverse effects of which cannot be
ameliorated by municipal action.
NOTE: Information and statistics for the above may be
derived from the most current available data:
a) census information
b) municipal records and reports
c) windshield surveys
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(VI) ELIGIBLE ITEMS FOR CONTRIBUTION IN AN
ONIP AREA
(a) ADMINISTRATION: (Not to exceed 15% of total project cost) '
Includes all costs directly related to the
preparation of the redevelopment plan, planning
refinement, resident participation, and the
municipal administration of the program.
These costs include;
Salaries of the municipal staff (full time and
part time) engaged in the preparation of the
redevelopment plan for the designated redevelop-
ment area.
Consultant fees for the preparation of the
redevelopment plan.
'W Preparation of base maps, reproduction of maps
and the acquisition of-census data.
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Site office rental and other related costs.
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Citizen participation including publication r
of literature for distribution among residents
and meeting costs such as hall rentals, G
microphones,etc.
ap Refinements to the redevelopment plan by
municipal staff and/or consultants.
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Salaries of municipal staff (full time and part
time) engaged in the implementation of the
redevelopment plan such as administration,
acquisition, negotiations, reltYcation', legal
and accounting.
Attendance at provincial and Ministry sponsored
seminars with prior approval of the Ministry.
(b) SOCIAL, AND RECREATIONAL FACILITIES:
These costs include:
Capital costs of construction including the
acquisition of land, demolition of buildings,
the acquisition-and/or z improvement or repair
Of existing buildings where they are to be j
utilized as social/recreational facilities
such as playgrounds, tot lots, parks (including !
park and playground equipment) , wading I
swimming pools, ball diamonds, skating rinks,
community centres, day care centres, clinics,
drop-.in centres, libraries, senior citizen
centres, youth centres and volunteer fire halls.
Demolition, grading of land, soil tests and
surveys related ,i.o social and recreational
projects.
Preparation of detailed architectural design
plazas and working drawings relating to project fl
implementation, iI{
Appraisal and legal fees. for the acquisition
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of properties.
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jc) RELOCATION COSTS:
These costs include:
Moving costs and other related Compensation paid
to individuals, families or businesses.
(d) SERVICES AND UTILITIES:
Preparation of detailed architectural design,--plans
and engineering working drawings, and other
necessary costs relating to project implementation.
Construction of the new sewer and water mains
and/or laterals. The-c-ontributions are to be�
made to the works within and specifically intended
to serve the redevelopment area.
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0 Repair of existing sewer and water mains within
the designated redevelopment area.
The abandonment of sewer and water mains within
the designated redevelopment area.
® The abandonment costs and/or residual value of
the hydro, gas and telephone lines within the
redevelopment area.
0 The cost of constructing new and/.or paving
and repairing of existing roads,_strEet-9 Zanes,
"idewalks-;-boulevards; ciir6s�°i�utters� ca�cFi.__. i
basins, street signs, street lighting, traffic
light signals and garbage receptacles. The
acquisition and/or demolition of the lands and/or
buildings if needed for the construction of new
roads, streets, lanes and sidewalks.
(e) LAND FOR LOW AND MODERATE INCOME- HOUSING:
These costs include:
The acquisition and/or clearing of land to_ )ae_used
for low and medium density housing-Tbr families
of low and moderate income where:
1) the property consists of a residential
building beyond the stage of
economic rehabilitation, or,
2) the existing land use is inconsistent
with the general character of the
area, or,
3) the property adjacent to (1) or (2)
is required in the land assembly of
a suitable site for the housing.
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It is recommended that when considering the purchase
of such land there be prior consultation with the
Ministry.
(f) LAND FOR OTHER USES;
These costs include:
The acquisition and demolition of noxious uses
where prior approval of stry has been
obtained.
NOTES ON ELIGIBLE COSTS:
Up to a maximum of 15% of the total project cost
(provincial and municipal contributions) may be
used for administration and planning costs as
previously outlined.
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Since the program is designed to assist �
those residential neighbourhood which require
improvements in both municipal a d social/
recreational services, °"n-o- less than._._._
20% of the total project cost (t tal program
cost minus adm-in-ist-ration°)--shAll be expended on
either category.
0 All facilities, including social and recreational i
and services and utilities,constructed or repaired
under the program must be acceptable to the Ministry
in terms of size and capacity`;°-"projects which
exceed-the needs- of the neighbourhood will be
considered for pro-rating in consultation with
staff of the Community Renewal Branch.
Funds can o nly be used to improve lands which are
municipally'owned 'Or where" a municipality'has a
written long term (10 year) use agreement which is
acceptable to the Ministry. Funds cannot be used
for the acquisition of land or buildings already
owned by the municipality.
It is not the intent of the program to service
vacant land for development.
�0 In the case. of land acquisition, the provincial
contribution shall be on a net basis, (gross
acquisition cost minus sa'Te price)-._' However, to
avoid financial burden to the municipality, where
the acquisition is necessary well in advance of
the finalization of the sale of the land,
the provincial contribution during the first
three years of the implementation of the redevelopment
plan may be on the basis of gross cost of acquisition.
However, if the sale of the land is not finalized
by the end of the third year, then the value of the
land shall be appraised in accordance with the
proposed re-use and the provincial contribution
will be netted accordingly. The netting is
necessary to enable the municipality to use pro-
vincial funds for other approved improvements and
to complete the redevelopment plan within the
stipulated four years. Also, any surplus funds (rentals
minus expenses) from an interim use of the lands and
buildings can only be used in the ONIP area for the
approved improvements.
It is not--the-intent of the program to pay for the
on-going maintenance and operating costs of any
improved or new facilities.
Provincial contribution will be limited to those
eligible costs which have been incurred after
the date of allocation. However, provincia
ph'W6nt will be made"-After the redevelopment plan
has been approved and the agreement has been
executed,
The list of eligible items may be expanded at the
request of a municipality with the approval of the
Minister.
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'VII) FUNDING PROCEDURES
(a) COST SHARING FORMULA:
The province will contribute 50% of the costs of
eligible items acceptable to the Ministry
within the overall agreement amount.
The municipality will be required to execute the
agreement in the form available from the Ministry.
(b) PAYMENT PROCEDURES:
The provincial 50% share of the eligible costs
within the overall agreement amount, will be paid _on
the submission of a completed claim form with
the necessary�-su-.__.___
Y pporting documentation after the
expenditures have been incurred and pain—r—or
initially by the municipality. The claim forms
are available from the Community Renewal Branch.
In order to ensure the completion of the projects
within the stipulated four years, and to forecast
an annual provincial cash flow, municipalities
would be required to comply with the rate of
expenditures, as outlined below:
A minimum expenditure of 1/3rd of the gross
approved cost by the end of the second year, up
to 2/3rds by the end of the 3rd year, and the
remaining 1/3rd by the end of the 4th year.
The municipality could exceed the minimum. However,
if the rate of expenditures__fdrlt-below`�he minimum
stipulated, then the municipality would lose
Pr
ov_incial commitment in the amount equal to the
difference bet:weern----thfe--actual and the minimum
required.
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(VI I I) TMPIFNDgrATION PTU S (� '
Ff" a1AR'P - O.N.I.P.
tfi Municipality submits an application to the Minister for flue
1 allocation of hurling,
Sew Appendix 'A' for a copy of the application,
2. Review and approval of municipal application by the Ministry. Minister's
Jotter of approval forwarded to municipality.
In consultation with Community Renewal Branch the municipality designates
]. a rcxdevelotnrnt ar(tia pursuant to Soction 22(2) of 'bhe Planning Act,
See Appendix 'B'(i) .
4. Municipality forwards redevelopment area by-law to the Minister for
approval.
S. Approval of redevelopment area by-law by the Minister.
In oonsultition with the Cc—a-mity Renewal Branch, the municipality prepares
6• and adopts a redevel
obment plan by by-law pursuant to Section 22(5) of 71ue
Planning Act. Fbr form and content of redevelopment plan see Appendix B,
7• SubrLit redevelopnx�nt plan with supporting documentation to the Minister
for approval.
8. Approval of redevelopment plan and by-law'by Minister,
4. Minister forwards Provincial-nmlicipal Agrecre>nts to minicipality for
execution. For loyislative provisions see Appendix 'B' (iii),
Municipality executes agreements and forwards to the Ministry executed
10, copies along with supporting municipal by-law authorizing
municipal officials. execution by
11. Provincial execution of agreement. A copy of executed agreement forwarded
to nunicipality.
12• Canmence implementation of redevel
13• Submit claims and progress reports as required .
N7PE: Steps 1 to 7 must be crnpletod within 6 months of notification of
the allocation,
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